Wrap-up | Reliance, ONGC drive Sensex above 18,000

Wrap-up | Reliance, ONGC drive Sensex above 18,000

Mumbai: The rebound in international commodity prices and good earnings from Tata Steel, Cairn India and Coal India helped Indian markets stage a comeback on Thursday.

After a positive opening, local equities gained momentum in the second half of the day after reports suggested that the government might increase diesel and kerosene prices in June. According to reports, a panel of Indian ministers might meet on 9 June to consider a fuel price hike. Read more...

Sensex: 18,044 +1.11%

Nifty: 5,412 +1.19%

Metals and oil & gas stocks led the gains among the Nifty 50. Reliance Industries gained more than 2.7% on reports that the government might allow the company to charge more for gas supplied to non-core users. After tanking yesterday, DLF also witnessed a sharp pullback on the bourses.

Hero Honda: 1,886 +4.43%

ONGC: 274 +4.42%

DLF: 218 +4.00%

Reliance Industries: 933 +2.92%

On the sectoral front, oil & gas, metals and automobile stocks led the gains on the BSE.

BSE Oil & Gas: 9,392 +2.90%

BSE Metal: 14,877 +1.50%

BSE Auto: 9,058 +1.49%

Except Oil India, all stocks in the BSE Oil & Gas index closed the day with gains. A hike in fuel prices will help state-run oil companies contain fast rising under-recoveries. According to a Bloomberg report, Indian state refiners are losing around 480 crore per day for selling fuel below cost price. Cairn India gained 1.4% after the company on Wednesday said its March profits jumped 10 fold to ,460 crore.

Gail India: 441 +2.75%

Petronet LNG: 133 +2.50%

Indian Oil Corporation: 308 +1.85%

BPCL: 613 +1.44%

Cairn India: 342 +1.40%

The rebound in international commodity markets revived investor interest in metal stocks. Sterlite Industries, Sesa Goa and SAIL registered gains of over 2.4% each. Tata Steel gained close to 2% after the company reported a 72% rise in March quarter profits.

Sterlite Industries: 167 +3.45%

Sesa Goa: 277 +2.52%

SAIL: 142 +2.48%

Tata Steel: 572 +1.98%

Overall it was a good day for Indian stock markets. About half the stocks traded on the BSE closed the day with gains.